Hexagon Composites initiates strategic review of its LPG cylinder business

Sep 26, 2023

26 September 2023: Hexagon Composites’ (OSE: HEX.OL) wholly owned subsidiary, Hexagon Ragasco (the “Company”) is the global market leader in composite cylinders for liquid petroleum gas (LPG) with more than 22 million cylinders sold to over 100 countries worldwide. Its portfolio of products, used for leisure, household, and industrial applications, are manufactured in its highly automated production facility in Norway. Today, Hexagon Composites announces a strategic review of the Company.

Hexagon Ragasco is currently developing the next generation composite LPG cylinder concept; a sensor-based digital ecosystem with the potential to improve data insights to drive down costs across the value chain and unlock new business opportunities for LPG distributors. An initial pilot is being carried out together with the leading LPG distributor in Norway.

The Company is also eyeing substantial growth opportunities outside its core market in Europe. This includes developing markets where LPG is expected to be a critical part of the energy transition, improving air quality and health for billions of people who today rely on highly pollutant and toxic fuels.

“Hexagon Ragasco has an exciting pipeline of growth opportunities which may be realized through, inter alia, structural strategic moves. We will carefully evaluate whether the Company’s growth potential can best be realized inside or outside the Hexagon Group,” says Jon Erik Engeset, CEO, Hexagon Group. “We take tremendous pride in the position Hexagon Ragasco has developed to date and we intend to secure the Company the best possible conditions for continued success.”

DNB Markets and Danske Bank Norwegian Branch have been retained as financial advisors.

For more information:

Karen Romer, SVP Communications, Hexagon Composites ASA
Telephone: +47 950 74 950 | karen.romer@hexagongroup.com

Ingrid Aarsnes, VP Investor Relations and ESG, Hexagon Composites ASA
Telephone: +47 950 38 364 | ingrid.aarsnes@hexagongroup.com

About Hexagon Ragasco AS

Hexagon Ragasco is committed to quality, safety, and innovation. We are the leading manufacturer of composite LPG cylinders with an industry-leading safety record of 20+ years and more than 20 million cylinders sold worldwide. Its products bring unique benefits to both LPG marketers and their customers. ​

Learn more at www.hexagonragasco.com and follow @Hexagon_Ragasco on Twitter and LinkedIn.

About Hexagon Composites
Hexagon Composites (OSE: HEX.OL) is a world leader in composite cylinder technology and related systems, delivering safe and innovative solutions for a cleaner energy future. Our solutions enable storage, transportation, and conversion to clean energy in a wide range of mobility, industrial and consumer applications.

Learn more at hexagongroup.com and follow @HexagonASA on Twitter and LinkedIn.

This information is considered to be inside information pursuant to the EU Market Abuse Regulation and is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act. This stock exchange release was published by Ingrid Aarsnes, VP IR & ESG, Hexagon Composites ASA on 26 September 2023 at 08:00 am CEST.